Answers · UK 2025/26

How are supply teachers taxed in the UK?

Supply teachers are almost always taxed through PAYE -- either directly by the local authority, school, or via a supply agency or umbrella company. Multiple short placements mean you may receive multiple P45s in a year or be put on an emergency tax code. You can claim travel expenses to temporary workplaces under the 24-month rule.

Last updated: 30 June 2026Last reviewed: 30 June 2026How we verify

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Supply teachers occupy a unique tax position because they often work for multiple schools in a single year through agencies, resulting in several sources of PAYE income that need to be correctly managed. **Employment status** Virtually all supply teachers are **employed** for tax purposes, not self-employed. They work through: - **Direct school/LA engagement**: school or local authority acts as employer - **Supply agencies**: the agency is the employer and deducts PAYE - **Umbrella companies**: the umbrella is the employer -- supply teachers are paid via umbrella with PAYE deducted Self-employment is very uncommon for supply teachers and HMRC is unlikely to accept it given the typical level of control exercised by schools. **Common tax issues** *Emergency tax codes*: When you start a new placement and do not have a P45, HMRC may apply an emergency code (1257L W1/M1), meaning you are taxed on a month-1 basis without reference to previous earnings. This can cause over- or under-taxation. *Multiple P60s*: If you have worked for multiple agencies or schools in a year, you may receive multiple P60s showing different income streams. All must be included on your tax return. *Cumulative vs. Week 1/Month 1*: Ensure your main employer uses a cumulative tax code (1257L) rather than a W1/M1 code to spread your allowance correctly. **Travel expenses** Supply teachers can claim travel expenses to **temporary workplaces** -- schools where they expect to work for less than 24 months: - Travel from home to school is deductible if the school is a temporary workplace - If you work at the same school for an extended period and expect to be there more than 24 months, it becomes a permanent workplace and travel is no longer deductible - Agency supply teachers with no single regular base can often claim travel to all placements **Teacher's Pension Scheme (TPS)** Supply teachers are eligible to join the TPS if they are in maintained schools. Agency supply workers may not automatically be enrolled -- check your contract. **Self Assessment** If you have multiple PAYE sources, untaxed income, or wish to claim expenses, register for Self Assessment by 5 October following the tax year.